The hundreds of direct-to-consumer brands that have sprung up in recent years are often painted as renegades, playing a nimble David to established brands’ sluggish Goliath. Now, these brands are starting to see the merits of scale.

That’s given rise to DTC holding companies that can wring cost savings from shared services around customer support and fulfillment, while providing a more efficient means of customer acquisition that has been the lifeblood of upstart brands. There are distinct benefits at scale within holding companies: A power-in-numbers approach leads to a bigger voice that commands more attention when dealing with larger entities like Shopify, Google and Facebook; technology like machine learning and e-commerce capabilities can also be shared across brand backends. As expensive utilities like free returns and fast shipping become table stakes, brands need all the support they can get.

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